Providence Washington Insurance Co. v. Bonner

680 P.2d 96, 1984 Alas. LEXIS 290
CourtAlaska Supreme Court
DecidedApril 13, 1984
Docket7308
StatusPublished
Cited by15 cases

This text of 680 P.2d 96 (Providence Washington Insurance Co. v. Bonner) is published on Counsel Stack Legal Research, covering Alaska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Providence Washington Insurance Co. v. Bonner, 680 P.2d 96, 1984 Alas. LEXIS 290 (Ala. 1984).

Opinions

OPINION

MATTHEWS, Justice.

I. CASE HISTORY

Lester Bonner was a lineman with the Chugach Electric Association. In 1978, Bonner slipped while working and injured his back. He was disabled for about three weeks and returned to. work “with no further difficulties.” On October 5, 1979, Bonner suffered a second on-the-job injury. He was out of work for about three weeks. He returned for a week, and then took six weeks vacation because he was still sore. He returned to work on January 10; he suffered increasing pain; he ultimately was disabled by the pain and did not return to work after March 10, 1980.

Chugach Electric Association switched workers’ compensation carriers on January 1, 1980; Providence Washington replaced Industrial Indemnity. Providence Washington paid Bonner worker’s compensation benefits following his disability beginning in March, 1980, until April, 1981, when it ceased payments, evidently because it decided that the disability had nothing to do with Bonner’s employment in 1980. Bonner thereupon filed a claim for compensation with the Workers’ Compensation Board.

A hearing on Bonner’s claim was held on September 10, 1981. That Bonner was disabled and entitled to benefits was not disputed. The sole matter in dispute at the hearing was which Chugach worker’s compensation insurance carrier was liable for the payments.

Bonner’s medical records, his deposition, and the deposition of one of his doctors were admitted into evidence at the hearing. In addition, Bonner testified.

The Board concluded that once an employee establishes a preliminary link between his disability and employment, in a case involving aggravation of pre-existing conditions, “the last employer [or, as the case may be, the last insurer in single-employer situations such as this] must come forward with substantial evidence that the last employment was not a substantial fac[98]*98tor in bringing about the employee’s disability.”

The Board found that “sufficient evidence has been produced to establish a preliminary link between the employee’s disability and his employment after January 1, 1980.” It further found that “Providence Washington has failed to produce evidence overcoming the presumption. Providence Washington produced evidence that the October 1979 incident was a substantial factor, but evidence was not produced showing that employment after January 1, 1980, was not a substantial factor contributing to his disability.”

The Board found Providence Washington liable for Bonner’s compensation benefits, and the superior court affirmed.

II. PRESUMPTION OF COMPENSA-BILITY

On appeal to this court, Providence Washington argues that, in general, no presumption of compensability arises in the absence of a specific traumatic event, where there is a pre-existing condition. In the absence of a trauma, there must be a “demonstrated physical change,” the insurer argues, or there is no preliminary link between the disability and the current employment. Applying these standards, Providence Washington concludes there is not substantial evidence to support the Board’s findings.1

In our view, Providence Washington’s argument equates the “preliminary link” necessary to establish the presumption of com-pensability with the “substantial evidence” required on appeal to support the Board’s decision in cases where the presumption has been rebutted. Such a characterization is erroneous.

We discussed the nature of the showing necessary to establish a “preliminary link” sufficient to give rise to the presumption of compensability in Burgess Construction Co. v. Smallwood, 623 P.2d 312, 315-16 (Alaska 1981):

Burgess maintains that the statutory presumption of coverage contained in AS 23.30.120(1) is not applicable in this case, and thus the Board properly placed the burden on Smallwood to establish through medical analysis that his disability was work-related. Burgess contends that this conclusion is mandated by the following language in our prior decision in this case.
“The claim in this case is based on highly technical medical considerations pertaining to the cause of the claimant’s renal failure. While valid awards can stand in the absence of definite medical diagnosis, this would appear to be the type of case in which it is impossible to form a judgment on the relation of the employment to the disability without medical analysis.”
Commercial Union Cos. v. Smallwood, 550 P.2d 1261, 1267 (Alaska 1976). We did not mean by this language to imply, as Burgess suggests, that the statutory presumption of compensability in the absence of substantial evidence to the contrary is not applicable in cases such as this. Rather, the quoted language simply acknowledges that before the presumption attaches, some preliminary link must be established between the disability and the employment, and that in claims “based on highly technical medical considerations” medical evidence is often necessary in order to make that connection. As we stated in Thorton, [v. Alaska Workmen’s Compensation Board 411 P.2d 209 (Alaska 1966) ] “[t]he question in a particular case of whether the employment did so contribute to [aggravate or accelerate] the final result is one of fact which is usually determined from [99]*99medical testimony.” 411 P.2d at 210. But once a prima facie case of work relatedness is made, as it clearly was here by Dr. Tenckhoff’s testimony, the Board may not ignore the presumption and allocate the burden of proof to the claimant. Should the company meet its burden of producing substantial evidence that the injury was not work related, the presumption would then drop out, shifting the burden of proving all elements of the claim back to the claimant. Miller v. ITT Arctic Services, 577 P.2d 1044, 1046 (Alaska 1978). [Footnotes omitted.]

In this passage, we noted that the necessary “preliminary link” was established by expert testimony that working conditions had accelerated the pre-existing condition. 623 P.2d at 316. Similarly, in the other post-Smallwood cases (none of them relying solely upon the presumption of compensability to establish a claim) in which aggravation or acceleration has been involved, there has been either a specific traumatic event or expert testimony pointing to a possible causal link between the disability and the aggravation.2 However, such a showing has not been held necessary as a matter of law merely to establish the presumption of compensability. See Burgess Construction Co. v. Smallwood, 623 P.2d at 316-17.3 Providence Washington’s contention that the presumption of compensability cannot attach in the aggravation/acceleration context without a specific traumatic event or a “demonstrated physical change” is without merit.

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Providence Washington Insurance Co. v. Bonner
680 P.2d 96 (Alaska Supreme Court, 1984)

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Bluebook (online)
680 P.2d 96, 1984 Alas. LEXIS 290, Counsel Stack Legal Research, https://law.counselstack.com/opinion/providence-washington-insurance-co-v-bonner-alaska-1984.